[A. WORK SESSION] [00:00:09] >> GOOD AFTERNOON, EVERYONE. TONIGHT IS MONDAY AUGUST THE 17TH, 2026. AT 6:30 WE ARE GOING TO OPEN UP OUR WORK SESSION HERE. LET'S DO A ROLL CALL NOW OR AFTERWARDS? >> WILL JUST OPEN THE WORK SESSION AT 6:00 AND WILL ASK OUR DIRECTOR OF FINANCE MARIA JOYNER TO PRESENT THE PROPOSAL BUDGET. , GOOD EVENING, COUNCIL. WE'LL GO OVER SOME OF THE FUNDS WE DIDN'T GET OVER ON AUG AUGUST 3RD. A COUPLE OF OTHER ITEMS AS WELL AS WHAT WAS DRIVING THE BUDGET SO TONIGHT WE ARE JUST GOING TO RECAP THE FUND BRIEFLY AND MOVE ON TO OUR OTHER FUNDS AS WE A Q. ON JULY 24TH WE RECEIVED NOTICE FROM DALLAS CENTRAL APPRAISAL DISTRICT SHOWING US THAT OUR TAXABLE VALUE CAME IN $1.2 MILLION FOR THE YEAR. THAT GAVE US AN INCREASE IN VALUES OF $207 MILLION, A 12.3% INCREASE OVER LAST YEAR'S. IN THE PREVIOUS YEAR WE HAD 8%, 6% INCREASE. WE WERE PRETTY PLEASED WITH THIS INCREASE THAT WE RECEIVED IN VALUES. INFORMATION FROM DALLAS CENTRAL APPRAISAL DISTRICT. BASED ON THE TRUTH IN TAXATION WE RECEIVED FROM DALLAS COUNTY, THE INFORMATION THAT WAS PRESENTED TO THEM CREATED A TAX RATE OF .62805. THAT'S DECREASED. CURRENT IS .657. THAT IS BASED ON THE INCREASE IN THE VALUES AND BASED ON THE FACT THAT SALES TAX IS COMING SO MUCH HIGHER IT DRIVES A TAX RATE DOWN SOMEWHAT. SO THE PROPOSED TAX RATE WHICH IS LOWER THAN THE PRO RATE IS BEING PROPOSED AT .62845. BASED ON THAT SALES TAX AND THE OTHER REVENUE, WE ARE PROPOSING A BUDGET OF 15.4 MILLION IN REVENUE FOR THE PROPOSED YEAR AND EXPENDITURES AT 15.2 MILLION. THAT'LL LEAVE US WITH A HEALTHY RESERVE THAT WE ARE IN. OF 318 DAYS. WE ARE EXCITED ABOUT THAT. THE EXPENDITURE NUMBER YOU ARE SEEING HERE IT HAS INCREASED BECAUSE WE HAVE A 47% INCREASE IN INSURANCE THIS YEAR. THAT WAS PRESENTED IN THE LAST PRESENTATION SO YOU CAN SEE THE INSURANCE INCREASE IN THAT LAST PRESENTATION. YOU CAN SEE THAT DETAIL. YOU CAN ALSO SEE WHERE WE FOMENTED TO SOMEWHAT COVER THAT INSURANCE COST IN OUR PRESENTATION ON AUGUST 3RD. WE TALK ABOUT THE COST OF THAT AS APPROXIMATELY $251,000. THE INCREASE THAT WE ARE PROPOSING FOR 2027. MOVING ON TO OUR DEBT SERVICE FUND AS WE TAKE A LOOK AT OUR OUTSTANDING DEBT, $57 MILLION CURRENTLY IN OUR OUTSTANDING SECURITY IN OUR WATER AND SEWER FUND. THAT GIVES US A TOTAL OUTSTANDING DEBT OF 79 MILLION. AS FAR AS A TAX RATE I JUST TALKED ABOUT, 22%, THAT TAX RATE IS ACTUALLY ALLOCATED TOWARD THE DEBT SERVICE FUND THAT WOULD GENERATE ABOUT 4.5 MILLION IN DEBT SERVICE REVENUE FOR PAYMENTS WHICH ARE COMING IN AT ABOUT 4.4 MILLION. OF COURSE CAMILLE GOT THE INCREASED DEBT ON THE FACILITY, THE LIBRARY CENTER, BUT MAKE SURE THAT WE WILL HAVE ENOUGH REVENUES TO COVER THOSE DEBT SERVICE STATEMENTS. THAT'S COMING ON BOARD. [00:05:02] WE'LL GO INTO OUR HOTEL MOTEL FUND. TRACKS REVENUES THAT COMES FROM ALL OUR HOTELS. WE DON'T BUDGET FROM THIS FUND SO THE 185 WE ARE PROPOSING, IT'S HOTEL MOTEL REVENUE FROM OUR VARIOUS HOTELS IN THIS ONE WE USE IT BECAUSE A PORTION IS USED BY THE STATE SO WE ARE ALLOWED TO USE A PORTION OF IT TOWARDS THE ARTS IN THIS BUILDING, ARTS WITH A NEW LIBRARY AND REC CENTER, DURING THE YEAR WILL BRING YOU A BUDGET AMENDMENT FOR ANY EXPENDITURES TO BE USED TOWARDS PUBLIC ART. MOVING ON TO OUR WATER AND SEWER FUND, APPROXIMATELY 5.4 MILLION IN REVENUE DURING THE 2027 YEAR AND 5.2. WE DO NOT HAVE THE DETAILS OF THIS FUND BECAUSE WE WILL BE GETTING INFORMATION FROM THE CITY OF DALLAS. WE ACTUALLY GET THE BILLS FROM THE CITY OF DALLAS. WHEN THEY SEND US THE BILL ABOUT THEIR INCREASED RATE, WE'LL BRING YOU A PASS THROUGH ORDINANCE WHICH WILL ALLOW THE CITY TO PASS THROUGH THE INCREASE ON TO OUR CITIZENS SO THIS WILL COME BACK TO YOU WITH A PROPOSAL TO PASS THAT RATE THROUGH SO THIS IS NOT ABSORBING THE INCREASE FROM THE CITY OF DALLAS. WE SHOULD GET THAT ABOUT THE 1SY LATEST AND AT THAT TIME AFTER WE RECEIVE THAT AND ANALYZE THE INFORMATION AGAIN WE'LL SEE THAT AND ACCORDING TO THE RIGHTS PROPOSED BY THE CITY OF DALLAS. WILL GO ON TO OUR DRAINAGE FUND AND WE ARE PROPOSING REVENUES ABOUT 240,000. KEEP IN MIND THIS KEEPS OUR DRAINING COVERAGES. THIS IS OFF THE FEE ARE RESIDENTS SEE ON THEIR BILLS THIS MONTH. THIS FUND WE ALLOW IT TO BUILD FOR LARGE PROJECTS WE HAD BACK IN 2024 IT WAS THE MEADOWBROOK CONCEPT. ALL THE OTHER PROJECTS IN THIS FUND, MINOR THINGS RELATED TO DRAINAGE SO EXCESSIVE THAT WE WOULD EAT UP THE RESERVE QUITE QUICKLY. NORMALLY WE WAIT UNTIL WE HAVE A LARGE PROJECT AND WE USE IT TOWARDS THAT PROJECT AND IT'S A COUPLE OF YEARS BEFORE WE CAN DO ANYTHING ELSE. WE CHARGE $2 TO RESIDENTS FOR DRAINAGE FEE AND WE CHARGE BASED ON THEIR PREVIOUS SERVICE AREA. YOU CAN SEE THE RESERVES ARE VERY HEALTHY BECAUSE OF THE BUILD UP I WAS JUST TALKING ABOUT. THE RESERVES CURRENTLY ARE AT $1.3 MILLION. AT LEAST THAT'S WHAT WE ARE ANTICIPATING FOR THE END OF 2027. AND IN OUR SANITATION FUND THIS ONE WILL COME BACK TO YOU BECAUSE WE WILL RECEIVE A PROPOSED RATE INCREASE FROM REPUBLIC AND ACCORDING TO THAT WILL ADJUST OUR RATES ACCORDINGLY BUT WE ARE PROPOSING FOR FIVE TO $27,000 OF REVENUE IN THIS. YOU CAN SEE IT'S BEEN TRENDING PRETTY FLAT OVER THE YEARS OTHER THAN THAT INCREASE THAT WE ACTUALLY RECEIVED FROM REPUBLIC. ALL YOU HAVE HERE ARE EXPENDITURES PRETTY MUCH WHAT WE CHARGE WHAT WE PAY BACK TO REPUBLIC FOR THE SERVICE. SO THE CITY IS NOT MAKING A LOT OF ADMIN MONEY OFF OF SANITATION. THE DIFFERENCE IS LIKE 28,000. IT'S WHAT WE GET CHARGE FROM REPUBLIC AND WHAT WE PAY THEM BACK OR PROVIDING THE SERVICE TO THE CITY. OUR 911 FUND IS A LITTLE BIT DIFFERENT. ON YOUR CELL PHONE BILLS YOU'LL SEE THERE IS 911 CHARGE. BASED ON THAT CHARGE LUCKILY PAYMENT IS REMITTED TO THE CITY AND WE USE THIS FUND TO ATTRACT OUR 911 EMERGENCY SYSTEM SERVICES. AND SO WE RECEIVES FILMIC WE RECEIVE MONTHLYPAYMENTS FROME COMPTROLLER FOR 911 SERVICE FEES AND WE PAY, WE REMIT $5,000 A MONTH TO AT&T FOR PAYMENTS FOR OUR 911 SERVICES. WE ARE CURRENTLY UPGRADING THOSE SERVICES. WE HAVE A $700,000 CONTRACT WITH AT&T ACTUALLY COMING TO AN END, TO THE END OF THIS YEAR. WE SHOULD BE WRAPPING UP THAT CONTRACT AND ARE EXPENDITURE FOR [00:10:07] 911 FEES ARE GOING TO GO UP BUT RIGHT NOW WE JUST RECEIVED THE MONEY AND WE PAY THAT MONEY BACK TO AT&T TO PROVIDE THE 911 SERVICES. TRYING TO GET OUR SYSTEM UP TO PAR AND THEY'VE BEEN WORKING ON THAT PROJECT FOR ABOUT A YEAR NOW. TRYING TO GET THAT PROJECT COMPLETED SO WE CAN HAVE A BETTER TIME IN ONE SYSTEM FOR OUR CITIZENS. OUR FACILITY IMPROVEMENT FUND, THIS ONE ACTUALLY IS ALLOCATED TO THE MAINTENANCE AND REPAIR AND CONSTRUCTION OF PUBLIC FACILITIES AND WE HAVE SOME MONEY IN THIS FUND WHEN THE BLOOD CAME IN 2022 SEVERAL YEARS AGO THOSE WERE TO BUILD THE PUBLIC SAFETY BUILDING. SOMETIMES WE PLACE FUND MONEY IN THIS FOR PUBLIC FACILITIES IMPROVEMENTS. IF YOU LOOK AT IN THIS, THE SAD PART ABOUT THIS FUND IT IS WITHOUT THOSE WE REALLY DON'T GET ANY MONEY. YOU CAN SEE THE $75,000, THAT'S JUST REVENUE YOU ARE SEEING THERE. IT'S JUST INTEREST EARNINGS. THE MONEY WE RECEIVED BACK IN 2024 WAS ALLOCATION FUNDS WE RECEIVED IN THAT YEAR FOR A SPECIFIC PURPOSE. BUT NORMALLY WE ONLY RECEIVE INTERESTS. IT'S A VERY SMALL FUND. VERY FEW TRANSACTIONS IN THIS ONE. OUR STREET CONSTRUCTION FUND IS USED TO FINANCE ROAD REPAIR, MAINTENANCE AND CONSTRUCTION. WE ARE GETTING READY FOR OUR BIG FUND PROGRAM. WE ARE HAVING A LOT OF ENGINEERING DONE. YOU CAN SEE IN PREVIOUS YEARS, LET'S LOOK AT THE REVENUES. WHAT YOU SEE HERE IN REVENUES. HE SEE THE STARTING 6,000? THAT'S JUST INTEREST EARNED. THESE NEXT TWO YEARS IF YOU GET DOWN HERE AND YOU SEE THE GREEN GRANT, 201 IN 2026, THAT'S WHAT WE ARE ANTICIPATING BUT YOU SEE UP HERE IT'S THE STATE PAYING US BACK FOR THAT. THEY ALREADY PAID US BACK 217 THIS YEAR. WE ARE ANTICIPATING THE REST OF THE GRANT NEXT YEAR AND THEY WILL REIMBURSE US FOR THOSE GRANT EXPENDITURES. WE COVERED THE EXPENDITURES UPFRONT AND WE REIMBURSE THE STATE FROM THE GRANT. OTHER THAN THAT, YOU CAN SEE IN OUR STREET CONSTRUCTION FUND THAT WE HAVE SOME WORK THAT WAS DONE ON OUR GATEWAY SIGNS. SPEAK WITH US THAT HUNDRED THOUSAND >> THAT'S THE 300,000? >> EXACTLY. IT WENT IN THE FUND AND HEAR WITH THIS PROJECT, YOU CAN ALSO SEE WHERE WE HAVE THE ENGINEERING THAT'S GOING ON IN THIS FUND. ALTHOUGH IT'S REALLY SMALL, IT'S THE START OF THE ENGINEERING PROCESS TO DETERMINE THE PCI LEVELS OF ALL THE STREETS AND SEE WHICH STREETS NEED REPAIR AS THEY LOOK AT THE PROJECT GOING FORWARD. THEY CAN GIVE YOU BETTER INFORMATION ON WHICH STREETS HAVE THE WORST DAMAGE. THAT'S WHAT THE ENGINEERING COST IS FOUR. OTHER THAN THAT AND OTHER THAN WHAT YOU BEEN SEEING THAT HAPPENED IN 2025, YOU ARE NOT SEEING A LOT GOING ON IN THE FUND BECAUSE THERE'S NOT A LOT OF MONEY THEREFORE A LOT OF PROJECTS. IF THE FUNDS ARE APPROVED, YOU'LL SEE THOSE TRANSACTIONS IN THAT FUND, IF THAT'S TO OCCUR IN THE FUTURE. 2027 OR 2028. WHEN THE FUNDS ARE APPROVED BY THE VOTERS. IN OUR UTILITY CONSTRUCTION FUND, WE USE THIS FUND TO FIND THE PLANNING DESIGN IN THE BUILDING OF CITY, WATER, SEWER INFRASTRUCTURE. THIS IS A FUN FINANCED RATHER THAN GENERAL TAXES IN THE CITY. AS YOU LOOK AT THIS, YOU CAN SEE THE 15 MILLION. REMEMBER WE ISSUED 14 MILLION BACK IN 2023 FOR SEWER PROJECTS? WHAT YOU SEE IS US SPENDING THE MONEY. IN THIS LAST YEAR, WE DIDN'T HAVE A LOT OF TRANSACTIONS GOING ON IN 2025. BUT YOU CAN SEE IN 2026 WE SPENT ABOUT 900,000 ON THAT MAIN PROJECT. THAT PROJECT IS COMING TO AN END AND WE SPENT ANOTHER 142,000. YOU CAN SEE, THAT PROJECT DID END. WE HAD SOME SMALLER SEWER PREPARES WE MADE 441,000. WE ARE ANTICIPATING IN 2027 ONLY INTEREST EARNINGS BECAUSE, [00:15:04] AGAIN, WE DON'T HAVE ANY INTEREST BUT IN THIS FUND BUT ALSO ANTICIPATING MINOR WATERLINE REPAIRS AND WASTE WATERLINE REPAIRS. THAT'S WHAT THE NUMBER IS ALLOCATED FOR. OTHER THAN THAT, YOU DON'T SEE ANY MAJOR PROJECTS OTHER THAN COMPLETING ALL THESE PROJECTS THAT WE ALREADY HAVE GOING ON. YES, SIR? ARE PARK THE CREATION OF PUBLIC PARKSTHAE CITY. I KNOW WE ARE PURCHASING A LOT OF PARKS BEAR THAT'S ACTUALLY BEING TRACKED IN OUR CAPITAL PROJECTS FUND. BUT WHEN WE HAVE MORE MONEY WILL MOVE IT OVER. RIGHT NOW THERE'S NOT A LOT BECAUSE WE JUST HAVEN'T BEEN DOING A LOT IN THE LAST COUPLE OF YEARS. NOT ANY INTEREST ALLOCATED TO THIS FUND IT BECAUSE IT'S ONLY A BALANCE OF A HUNDRED THOUSAND DOLLARS AND WITH INTEREST RATES GOING DOWN WE HAVEN'T ALLOCATED ANY INTERESTS. WE DID HAVE 116,000 WAS SPENT ON CAM BELL PARK IN 2025 AND WE SPENT ABOUT 21,000 ON VALLEY VIEW PARK. BUT IF YOU LOOK AT 2026 THERE ARE NO EXPENDITURES. AT LEAST WE AREN'T SEEING ANY PART EXPENDITURES THIS YEAR AND ANY BENEFIT TO THE POST IN 2027. IN THIS FUND BECAUSE THE FUNDING IS SO LIMITED AND WE DON'T REALLY HAVE ANY EXPENDITURES IN THE PARKS. MOVING ON TO OUR NEW CITY HALL FUND. BECAUSE CITY HALL HAS COMPLETED THIS FUND, OUR GOVERNMENTAL PROJECTS BEING THE NEW CITY CITY HALL. YOU CAN SEE WHERE HE ISSUED FUNDS BACK IN 2023 FOR 15.3 MILLION, WE HAD ANOTHER SMALLER ISSUE IN 2024, THAT WAS AN ISSUED FOR THOSE FUNDS. AFTER THAT ITS INTEREST EARNINGS OCCURRING IN THIS FUND. YOU CAN SEE THIS YEAR WE ACTUALLY SPENT ABOUT ANOTHER MILLION DOLLARS ON THE PROJECT. OUR EXPENDITURES THE LAST PORTION OF THAT CONSTRUCTION. WE'VE INCURRED ABOUT ONE OR 24 AND CONSTRUCTION THIS YEAR. WRAPPING UP ALL THAT CONSTRUCTION COSTS. WE HAD AND FURNITURE AND FIXTURES MAKING THOSE FINAL PAYMENTS THIS YEAR. WE HAVE NOTHING IN THE BUDGET FOR NEXT YEAR. SHOULD BE COMPLETELY PAYING THROUGH THIS NEXT YEAR. ONLY HAVE ABOUT $100,000 LEFT IN THIS FUND. WE ARE CLOSING OUT THE CAPITAL PROJECTS FUND. THIS PROJECT IS COMPLETELY CLOSED OUT. PARDON ME? MOVING ON TO OUR LIBRARY AND REC CENTER FUND. THIS PROJECT WAS SET UP SPECIFICALLY TO TRACK THE LIBRARY AND THE REC CENTER PROJECTS. AND IN OUR CAPITAL PROJECTS FUND, WE HAVE LUCILLE BALL AND THAT WE HAVE THE LIBRARY AND REC CENTER TRACKED IN THIS ONE. THIS FUND IS HEALTHY RIGHT NOW BECAUSE WE JUST ISSUED 28 MILLION. WE ALSO RECEIVED 3 MILLION FROM FOUR B DIVISION. THIS IS A PARTIAL YEAR. 500,000. WE ARE STILL EXPECTING SEVEN AND 20,000 IN INTEREST IN THIS FUND THIS YEAR AND AS WE SPEND THAT MONEY WE ARE PAYING A MILLION DOLLARS A MONTH TOWARDS THE PROJECT. SO IS THAT FUND GOES DOWN AS WE SPEND THE MONEY WILL LEARN LESS INTEREST. AS YOU CAN SEE WE ARE ONLY EARNING ABOUT 500,000 IN INTEREST EARNINGS ON THAT FUND. WE HAVE HERE A SMALLER FUND ISSUE THAT WE ENTERED INTO IN 2025 BECAUSE WE ACTUALLY RECEIVED THE FUNDS ON OCTOBER 2ND OF 2025 THAT HAS ONCE FALLEN TO 2026 THERE. YOU CAN SEE THIS YEAR WE ARE EXPECTING TO SPEND ABOUT 5.6 MILLION. WE'VE ACTUALLY SPENT ALREADY 3 MILLION PLUS. WE GOT AN INVOICE RIGHT NOW AT 700,000. THAT'S ONE OF OUR SMALLER INVOICES. 700,000. THOSE INVOICES ARE NORMALLY ABOUT A MILLION DOLLARS A MONTH FROM THEM AS FAR AS A CONSTRUCTION IS GOING RIGHT NOW. WE HAVE ADDITIONAL DESIGN WORK. THE ISSUANCE COST HERE IS WHAT [00:20:02] IT COST TO ISSUE THOSE FUNDS FOR THE PROJECT. SO WE ARE ANTICIPATING NEXT YEAR ONLY ABOUT 500,000 IN INTEREST EARNINGS. BUT TO WRAP UP THAT CONSTRUCTION, THE BIGGEST CONSTRUCTION COSTS ARE GOING TO HIT NEXT YEAR AT 12.3 MILLION. AT THE END OF THE YEAR WE ARE STILL ANTICIPATING HAVING 11.6 MILLION TO FINISH OFF THE PROJECT. WE SHOULD BE ABLE TO WRAP THAT UP IN '27 VERSUS '28. THOSE ARE ALL OUR PROJECTS, ALL THE FUN THES WE DID NOT COVER DURING THE AUGUST 3RD MEETING AND ON SEPTEMBER 8TH WE'LL HAVE ANOTHER WORK SESSION TO GO OVER EVERYTHING. JUST TO RECAP IT ALL FOR THE CITIZENS AND WILL ALSO HAVE SEPTEMBER 8TH OUR PUBLIC HEARING ON OUR EDC BUDGET. WE'LL HAVE A PUBLIC HEARING ON THE CITY BUDGET AND ON THE CITY TAX RATE. AFTER WE HAVE THOSE PUBLIC HEARINGS WE WILL PRESENT THE BUDGET TO YOU FOR APPROVAL AND WILL PRESENT THE CITY BUDGET FOR APPROVAL AND WILL PRESENT THE CITY TAX RATE TO YOU FOR APPROVAL. SO WE'LL MOVE ON TO OUR H EDC BUDGET AND GUY WILL PRESENT THAT TO YOU. >> THANK YOU, MARIA. MY NAME IS GUY BROWN. I'M THE EDC DIRECTOR. THE EDC IS THE WARD THAT MARIA DISCUSSED EARLIER. WE HAD A SEVEN-MEMBER ORDER DIS MS. MAGICAL IS OUR VICE PRESIDENT. STEVE NICHOLS, DEMARCUS ODOM, MAYOR VASQUEZ. EXTRA LAYER OF OVERSIGHT, THE CITY COUNCIL IS THE GOVERNING BODY OF THE CITY AND HAS FINAL APPROVAL ON EXPENDITURES. BUT THE BOARD MEETS CAN WE TRY TO MEET MONTHLY EVERY OTHER MONTH TO DISCUSS AND ACT UPON ISSUES RELATED TO ECONOMIC DEVELOPMENT. ECONOMIC DEVELOPMENT GRANTS ARE NOT ENTITLEMENTS. IF YOU HAVE A ZONING, A PIECE OF PROPERTY, IT ZONED A SPECIFIC WAY, IT'S AN ENTITLEMENT. YOU ARE ENTITLED CONSISTENT TO THAT. EDC GRANTS ARE NOT ENTITLEMENTS BY STATE STATUTE IN EACH CASE IS REVIEWED ON A CASE-BY-CASE BASIS. IT'S THE JOB OF THE EDC BOARD AND THE CITY COUNCIL TO TRY AND ACHIEVE ECONOMIC DEVELOPMENT AT A LOW COST TO THE TAXPAYER. EVERYONE IN THIS ROOM PAYS SALES TAX. YOU GO INTO A VENDOR AND IF YOU GO TO HUTCHINGS YOU HAVE TO PAY AN 8.25% SALES TAX FOR EVERY DOLLAR THAT YOU SPEND. THAT GOES TO THE COMPTROLLER. 6.25 THAT IS WITHHELD AND THAT'S HOW THE STATE OF TEXAS RUNS ITS OPERATIONS. 2% COMES TO THE CITY OF HUT HUTCHINS. TO THAT, GOES TO THE EDC MIGHT HAVE A SCENT GOES TO PROPERTY TAX REDUCTION AND 1 CENT GOES TO THE GENERAL FUND. WE ANTICIPATE A BUDGET, A REVENUE FOR TAX OF $1.25 MILLION. THAT MEANS WE HAVE TO HAVE THE RANGE OF $5 MILLION WORTH OF TAXABLE SALES TRANSACTED IN OUR COMMUNITY. THAT MEANS WE HAVE TO HAVE ABOUT $835,000 A DAY AND TAXABLE SALES IN ORDER FOR US TO REACH OUR BUDGET. WE DO HAVE A LOT OF MAJOR TAXPAYERS IN THE UNCERTAIN ORDER BUT IT'S NO SURPRISE THAT CHICK-FIL-A SUPPLY ARE REALLY LARGE SELF TAXPAYERS TO OUR CITY ALONG WITH THE OTHERS SALES TAXPAYERS WE HAVE. WE ARE HAPPY WE HAVE A GOOD SALES TAX FOR THE SIZE OF THE CITY THAT WE HAVE. SAYS A LOT ABOUT OUR CITIZENS AND THE BUSINESSES THAT WE HAVE IN TOWN. JUST GOING THROUGH IT. SALES TAX, WE ANTICIPATE A $25,000 INCREASE IN SALES TAX THIS YEAR. WE THINK THE INSURANCE CAN INCOME WILL STAY THE SAME. WE PROGRAM SALARIES, WE DO IS WE INDEX THIS INTO WHAT THE CITY DOES IN THIS YEAR WE ARE ALL RECOMMENDING A 4% INCREASE SO FAR FOR CITY EMPLOYEES AND SO WE PROGRAM THAT IN AND YOU'LL [00:25:01] NOTICE THAT HEALTH INSURERS HAS GONE UP SIGNIFICANTLY AROUND 41%. USUALLY WHAT YOU WANT ME TO DO IS TELL YOU TO TAKE LAST YEAR'S BUDGET AND LET ME KNOW, TELL YOU WHAT'S GOING UP FROM LAST YEAR. THE ITEMS IN RED ARE UP FROM LAST YEAR, OR THE CURRENT YEAR RATHER, AND WHAT'S IN A REGULAR TYPE WILL STAY THE SAME. SO BUSINESS RETENTION EFFORTS WILL GO UP BY $2,000 TO 6,000. THAT IS TO ACCOMMODATE -- WE ARE GOING TO START TO HAVE TWO THAT WE INVITE TO LOCAL BUSINESSES RATHER THAN JUST ONE. TRAVELING AND TRAINING GOING TO GO UP BY $2,000. GOING TO UNDERTAKE WHAT'S CALLED A TEXAS CERTIFIED ECONOMIC DEVELOPER PROGRAM THROUGH TEXAS A&M. I'M A CERTIFIED ECONOMIC DEVELOPER THROUGH EDC BUT THIS IS A SPECIFIC WE FUND. OUR SPECIAL PROJECTS REMAIN THE SAME. THE LARGEST BEING HUTCHINS IMPROVEMENTS. JUST GOING THROUGH THE MAJOR THINGS THAT WE SPEND OVER THE LAST TEN YEARS. WE SPENT A LITTLE OVER $7 MILLION ON COMMUNITY PRO PROJECTS. THE SIGNAGE THAT JIM MENTIONED EARLIER WAS 300,000. WE CONTRIBUTED 300,000 TOWARDS CLEVELAND ROAD RECONSTRUCTION. GOING TO BRING RECONSTRUCTION ON THE INSIDE. THE RTC PROJECT ON THE INSIDE THAT WE HOPE WILL BE TAKEN UP SOON. WE CONTRIBUTED A MILLION DOLLARS, THE PUBLIC SAFETY FACILITY, CONTRIBUTED AT 1.1 MILLION IN THE RECREATION CENTER THROUGH 3 MILLION PER THAT'S HOW WE ARRIVE AT THAT $7 MILLION FIGURE. REVENUE GOING TO BE .675 INCLUDING INTEREST INCOME. THIS BUDGET PROPOSES TO SPEND $1.2 MILLION SO WILL HAVE ABOUT A PORCH AT SIX TO $4,000 SURPLUS OVER ABOUT $64,000 SURPLUS. WE'LL HAVE ABOUT $3.7 MILLION CASH ON HAND. MOST OF OUR REVENUE IS GOING TO GO TOWARDS SPECIAL PROJECTS. 71%. SALARIES AND BENEFITS ARE ABOUT 16%. IN GENERAL OPERATIONS, THAT INCLUDES MARKETING, RUNNING THE OFFICE, THOSE KIND OF THINGS AT ABOUT 13%. AGAIN JUST SHOWING THE AREAS WHERE WE ARE SPENDING MORE THIS YEAR THAN WE DID LAST YEAR. HEALTH INSURANCE 41% MORE, THE SALARY IS 4%. BUSINESS RETENTION EFFORTS 100% MORE. AND SO ON. WE ARE GETTING A LITTLE BIT OF REDUCTION IN OUR INSURANCE. SO THE CITY WENT TO THE RTC A FEW YEARS BACK. THE RTC IS IMPROVING FROM CARPENTER ROAD AND ULTIMATELY DOWN TO A PLEASANT RUN. OUR SEGMENT IS ANTICIPATING THE COST ABOUT $20 MILLION. THERE IS A $2 MILLION LOCAL MATCH AND WE CONTRIBUTED A MILLION DOLLARS TO THAT. LANCASTER HUTCHINS, WE ARE APPROACHING TO OUR CITY LIMIT LINE AND WE SET ASIDE $666,000 TO HELP FUND THAT SHOULD THE PROJECT TAKE PLACE. TOWN SQUARE DESIGNED 80,000, LOCAL BUSINESS IMPROVEMENT TO 40,000 FOR LOCAL BUSINESSES LOOKING TO EXPAND OR IMPROVE THE VISUAL APPEARANCE OF THEIR COMPANY. WE PROVIDE A GRANT FOR THAT AND SMALL BUSINESS DEVELOPMENT WHICH WE WILL HAVE TONIGHT, WE SET ASIDE $40,000 FOR THAT. IN THE ADMIN STREET OF COSTS, THIS IS WHAT WE PAY THE CITY BACK FOR HR. AND STAR TRANSIT, WE BUDGET $18,000. WE HEARD IT'S GOING TO BE $18,600 AND SO IT'S A LITTLE BIT OF AN ERROR THERE. WE APPROVED THIS IN JUNE. WILL HAVE TO MAKE AN ADJUSTMENT THERE AT $600. JUST TO SUMMARIZE, CASH BALANCE OF OCTOBER 1ST WILL BE THE .3 MILLION. ADDITIONAL REVENUES OF 1.6 MILLION EXPENDITURES OF 1.2. SO WE'LL HAVE AN ENDING BALANCE OF $3.7 MILLION AT THE END OF THE YEAR. MAJOR THINGS TO WATCH SALES TAX PERFORMANCE AND IT CAN BE VOLATILE. AND LENGTHS TO HUTCHINS POSTURES PROJECT TIMING. IT JUST HASN'T STARTED YET. SO THAT IS MY PRESENTATION. I'M HAPPY TO ANSWER ANY QUESTIONS. THIS WILL BE A PUBLIC HEARING ITEM AT THE SEPTEMBER 8TH MEETING AND HOPEFULLY, WE HOPE, [00:30:02] YOU'LL APPROVE. >> >> THANK YOU, COUNCIL. >> CALL TO ORDER AND THE ROLL [B. CALL TO ORDER AND ANNOUNCE A QUORUM PRESENT] CALL. >> HERE. >> HERE. >> HERE. >> EVERYONE IS PRESENT. STEVE, WOULD YOU DO US THE HONOR OF DOING THE INVOCATION? >> DEAR HEAVENLY FATHER, WE THANK YOU -- WE ASK YOU TO BE WITH THE COUNSEL TO REPRESENT OUR CITIZENS AND OUR CITY. THE POLICE, FIRE, PROTECT OUR SAFETY AND FREEDOM. FATHER, WE ASK YOU TO BE WITH US IN JESUS' NAME WE PRAY. >> WILL YOU LEAD US IN THE PLEDGE OF ALLEGIANCE? >> I PLEDGE ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA AND TO THE REPUBLIC FOR WHICH IT STANDS, ONE NATION UNDER GOD INDIVISIBLE WITH LIBERTY AND JUSTICE FOR ALL. >> THANK YOU. >> AT THIS TIME, THE FIRST ITEM A CITIZEN COMMENTS. [E. CONSENT AGENDA] I DON'T HAVE ANYONE REGISTERED TO SPEAK TONIGHT SO WE'LL MOVE ONTO THE CONSENT AGENDA. CONSIDERED APPROVAL OF CITY COUNCIL MEETING MINUTES FOR THE MONTH OF JULY. >> WE APPROVE THE CONSENT AG AGENDA. >> AND THIS MOTION BY MR MR. NICHOLS, CAST YOUR VOTE PLEASE. MOTION CARRIES. [F.3. STAR Transit presentation. Presented by: STAR Transit] >> OKAY. SO AT THIS TIME WE WILL MOVE ON TO THE NEXT ITEM. WE HAVE OUR PRESENTATIONS. WE HAVE A PRESENTATION BY STAR TRANSIT. >> GOOD EVENING. THANK YOU SO MUCH FOR HAVING ME. EXCITED TO BE HERE AND TALKING ABOUT ALL THE BIGGER STUFF HAPPENING -- >> CAN YOU APPLY YOUR NAME? >> I'M KIM BRITTON, EXECUTIVE DIRECTOR FOR STAR TRANSIT. TONIGHT WE ARE GOING TO TALK A LITTLE BIT ABOUT WHAT WE PROVIDE IN THE CITY OF HUTCHINS. WE WILL TALK ABOUT RIDERSHIP DATA AND REVIEWED THE BUDGET. A LITTLE BIT ABOUT US. WE'VE BEEN PROVIDING TRANSPORTATION FOR OVER 45 YEARS. OUR MISSION IS TO IMPROVE QUALITY OF LIFE THROUGH SAFE AFFORDABLE AND RELIABLE MOB MOBILITY. WE ARE POLITICAL SUBDIVISION OF THE STATE PROVIDING OVER 235,000 TRIPS PER YEAR AND WITH THE STAFF ABOUT 80 AND WE PUT ABOUT 55 OR 60 VEHICLES ON THE YEAR. OUR CALL CENTER TAKES OVER 680 CALLS A DAY. WE ARE BASED OUT OF KAU KAUFMAN COUNTY AND WE ARE THE FOURTH LARGEST TRANSIT AGENCY WITH NO DEDICATED SALES TAX. OUR SERVICE INCLUDES KAUFMAN COUNTY, ROCKWALL COUNTY, SEAGOVILLE, PALM SPRINGS, MESQUITE, HUTCHINS AND WILMER. WE PROVIDE SOME IN ELLIS COUNTY BUT IT'S A GRANT WE RECEIVED FROM THE AREA AGENCY. WE ARE NOT THE PUBLIC TRANSPIRATION PROVIDER THERE BUT WE DO PROVIDE TRIPS FOR SENIORS, 60 PLUS TO THE SENIOR CENTER. OUR SERVICE AREA COVERS OVER A [00:35:06] THOUSAND SQUARE MILES WITH A POPULATION OF OVER 730,000. THE FIRST SERVICE WE PROVIDE HERE IS OUR DEMAND AND RESPONSE. THIS IS OUR SERVICE YOU CAN BOOK ONE BUSINESS DAY. YOUR BOOK TRIPS BY THE CALL CENTER OPEN MONDAY THROUGH FRIDAY 8:00-4:00. ANYONE IN HUTCHINS CAN USE THIS SERVICE. YOU HAVE TO BE 13 OR ABOVE TO RIDE BY YOURSELF. YOU CAN GO ANYWHERE YOU WANT TO IN THE CITY OR THE SURROUNDING AREA AND WE DO LEAVE THE CITY FOR MEDICAL SO IF SOMEONE NEEDS TO GET TO PARKLAND, WE DO IT LATE IN THIS AREA FOR MEDICAL APPOINTMENTS. THE FARE IS BASED OFF DISTANCE AND SO IT RANGES BETWEEN TWO AND $12. WE DO OFFER HALF FARES FOR THOSE 60 PLUS AND DISABLED RIDERS. PERSONAL CARE ATTENDANTS, THOSE THAT ARE 12 AND UNDER DUE RIDE FREE. WE ALSO OFFER THROUGH THIS SERVICE A PROGRAM CALLED THE CLIENT ETIQUETTE PROGRAM. IF THERE'S SOMEONE NEEDS HELP AND THEY WANT TO GO SHOPPING WE HAVE SOMEONE AVAILABLE TO GO HELP THEM DO THAT AND PLUS THEY CAN ALSO TRAVEL WITH THEM TO MEDICAL APPOINTMENTS. SO IF THEY USE MOBILITY TO BUY SOMETHING, THEY CAN OPEN DOORS, HELP THEM TO AND FROM THE VEHICLE. BUT IT SOMEONE NEEDS ADDITIONAL HELP, WE CAN PUT OUR STAFF TO DO THAT. THAT DOESN'T COST THE RIDER ANYTHING ADDITIONAL AND DOESN'T COST YOU ANYTHING ADDITIONAL PRAYER WE GET GRANT DOLLARS FOR THAT PROGRAM. THE SECOND SERVICE IS WHAT WE CALL MICRO TRANSIT. WE ALSO CALL IT OUR STAR NOW SERVICE WHICH IS SAME DAY. OPERATES MONDAY THROUGH FRIDAY, 5:00 A.M. TO 8:00 P.M. SO IT'S A LITTLE BIT DIFFERENT THAN PREBOOK. YOU CAN USE OUR STAR NOW APP OR YOU CAN CONTACT OUR CALL CENTER AND BOOK TRIPS. THE CALL CENTER FOR THIS SERVICE OPENS AT 4:30 IN THE MORNING SO THEY CAN START BOOKING TRIPS THAT EARLY. AGAIN, ANYONE IN HUTCHINS, YOU HAVE TO BE 13 OR ABOVE TO RIDE BY YOURSELF. THIS IS LIMITED TO A CERTAIN ZONE. THESE ARE MEANT FOR QUICK TRIPS AND I'LL SHOW YOU WHAT THAT ZONE LOOKS LIKE IN ANOTHER COUPLE OF SLIDES. BUT IT DOES INCLUDE -- THIS SERVICE DOES INCLUDE THE UMT STATION, YOU CAN ALSO GO TO DALLAS COLLEGE, THE UMT DALLAS CAMPUS. SAME-DAY SERVICE, IS WHEN WE TALK ABOUT THAT WE DON'T LEAVE THE SERVICE AREA EXCEPT FOR MEDICAL FOR THE OTHER SERVICE? FOR A SAME-DAY SERVICE WE DO FOR THE SPECIFIC LOCATIONS. THE FAIR IS A LITTLE BIT DIFFERENT BECAUSE IT IS -- IT IS THE ZONE AND THAT'S $2, 13 TO 59 AND IT'S $1 FOR THOSE VETERANS AND DISABLED RIDERS. THIS SERVICE DOES ALLOW PROMO CODES. SO IN NOVEMBER WHEN IT'S TIME TO VOTE, WILL PUSH OUT A PROMO CODE THEY CAN USE TO GO VOTE FOR FREE. WE DO NOT CHARGE TO VOTE. THIS IS A SERVICE THAT WE HAVE INCORPORATED BLUEBIRD. HOW THAT WORKS IS IF YOU GET ON THE AFT IT'S GOING TO TAKE A STAR TRANSIT VEHICLE A LONGER THAN AN HOUR TO GET TO YOU THERE WILL BE A POP-UP THAT SAYS WOULD YOU BE WILLING TO TAKE AN UBER AND IF YOU SAY YES YOU CAN GET A TRIP WITH WITHIN FIVE OR 10 MINUTES. LONGER DEPENDING ON WHAT THE AVAILABILITY IS. THE RIDE DOES NOT COST ANY MORE. PAY THAT $1 IF YOU ARE ISSUED. WE DID THAT -- IT'S THE TREND HAPPENING WITH IT IN TRANSIT. WE DONE THIS WITH ALL OUR SERVICE AREA AND THAT'S TO HELP WITH AVAILABILITY AND BRING DOWN WEIGHT TIMES. THIS IS THE ZONE. THE LARGER MAP IS WHAT THE ZONE LOOKS LIKE. THIS IS WHERE THEY CAN GO USE THE SAME-DAY SERVICE. SO THAT'S ONLY THE SAME-DAY SERVICE. THE OTHER IS OUR SERVICE AREA. THE OTHER MAP, IT GIVES YOU A HEAT MAP AND THAT SHOWS YOU WHERE THE HOT SPOTS ARE FROM A TRAVEL STANDPOINT. WE'VE ALSO LISTED SOME OF THE TOP DESTINATIONS THERE AS WELL. THE TWO THAT HAVE THE RED, THOSE ARE YOUR TWO STATIONS. AND RIDERSHIP, THIS IS WHAT RIDERSHIP LOOKS LIKE. WE HAVEN'T QUITE DONE THIS FOR THE FISCAL YEAR YET. ACTUALLY TWO MORE MONTHS. THIS IS WHERE YOU CAN SEE WHERE WE LEVELED OUT AT THE 5-600 RANGE. WE AVERAGE ABOUT 529 TRIPS, MICRO TRANSIT TRIPS. THAT'S ONLY MICRO TRANSITS. THAT'S THE SAME DAY. ABOUT 71% OF THOSE SAME-DAY TRIPS ARE PROVIDED BY UBER. THE AVERAGE WAIT TIME, OUR GOAL [00:40:02] IS BETWEEN 15-20 MINUTES. RIGHT NOW WE ARE AT 17 MINUTES IN HUTCHINS. SO THE WAY THE UBER IS BUDGETED TO, YOU GUYS SEND A CERTAIN AMOUNT OF MONEY FOR UBER AND WE ARE ABLE TO ALLOCATE THAT EACH MONTH AND YOU CAN SEE THAT FIRST MONTH WE ARE HERE IT SHOT UP TO 890 JUST BECAUSE WE OPEN IT UP TO SEE WHAT WE WERE LOOKING LIKE FROM A NEED STANDPOINT. WE QUICKLY REALIZE THAT WE NEEDED TO DIAL THAT BACK DOWN. AND SO FOR FY '26, THE DAILY UBER TRIP WE SAID WAS HIT 88% OF THE TIME AND THE MONTHLY LIMIT WAS HIT EVERY SINGLE MONTH. THAT'S WHY YOU SEE THAT FLAT NUMBER IS BECAUSE WE ARE MAXING OUT ON UBER TRIPS EVERY MONTH. JUST SOME ADDITIONAL STATS THAT I'D LIKE TO SHOW. 93% ON-TIME RATE. OUT OF THOSE, WE HAVE AN 88% POSITIVE REVIEW. WE HAVE OVER FIVE TO 50 UNIQUE WRITERS USING THE SERVICE. THIS WAS AN INTERESTING ONE BECAUSE NORMALLY IN MOST OF OUR SERVICE AREAS IT'S ABOUT A 50/50 SPLIT ON WHO IS USING VERSUS WHO IS CALLING HERE AT 69%. THAT'S REALLY GOOD THAT THEY ARE USING THE APP TO PUT THOSE TRIPS. AND FOR FY26 TODAY, WE'VE DONE OVER THE 700 TRIPS. 5700 TRIPS. ANYTHING MORE BEFORE I MOVE INTO THE BUDGET? SO THE BUDGET FOR FY27, ALL OUR PUBLIC PARTNERS ARE CHARGE THE SAME RATE WHICH IS $60 FOR FY27. OUR BOARD OF DIRECTORS SETS THAT RATE EVERY YEAR AND ALL OUR PUBLIC PARTNERS AT THE SAME RATE. TO SET THE CONSISTENCY IN HUTCHINS THIS YEAR FOR FY27 THE TOTAL COST WOULD BE JUST OVER $37,000. YOU GUYS ARE SPLIT SO THAT'S WHY IT'S A LITTLE LESS EXPENSIVE THAN WHAT IT MIGHT LOOK LIKE BECAUSE YOU ARE SPLITTING THE COSTS WHICH IS APPROXIMATELY $3100 PER MONTH. HOWEVER, I WILL SAY THAT THIS YEAR'S BUDGET DOES INCLUDE SOME ADDITIONAL DOLLARS FOR UBER THAT WE ARE ALLOCATING STRICTLY TO HUTCHINS. AND SO THAT'S ABOUT 2,000 ADDITIONAL TRIPS WHICH IS ABOUT $25,000. BUT IT'S ONLY 12,500 FOR YOU GUYS BECAUSE WE GET 50% AND GRANTS. SO THAT'S WHY YOU SEE A LITTLE BIT MORE OF AN INCREASE THEN WHAT YOU'D NORMALLY SEE BECAUSE WE'VE ADDED THAT ADDITIONAL UBER. IF YOU DON'T YOU'RE GOING TO CONTINUE TO SEE THAT SAME FIVE, 600 TRIP LEVEL. ANY QUESTIONS ABOUT BUDGET? >> THAT'S AN INCREASE. CAN WE AFFORD IT? >> [LAUGHS] AND THAT'LL BE GREAT FOR THAT'S 2,000 TRIPS INCREASE WHICH IS GREAT. WE'VE GOT AN 88% POSITIVE REVIEW RATE. WE'D LIKE FOR THAT TO BE HIGHER. >> I HEAR NOTHING BUT GOOD THINGS FROM STAR TRANSIT, PEOPLE WHO RIDE IT. I THINK OUR RESIDENTS ARE TAKING ADVANTAGE OF IT. >> GOOD. >> IF YOU ARE NOT, YOU SHOULD. THANK YOU. >> JUST A COUPLE OF OTHER QUICK UPDATES. WE LIKE TO GIVE YOU WHAT'S GOING ON WITH THE AGENCY. AI IS A NEW BUZZWORD. WE'VE ACTUALLY INTEGRATED THAT INTO OUR CALL CENTER. WE'VE BEEN USING AI TO ANSWER. WE HAVE SERVICE ON SATURDAYS IN A COUPLE OF OUR PARTNER CITIES AND WE ACTUALLY HAD AI ON SATURDAY WHICH HAS WORKED REALLY WELL AND WE'VE RECENTLY MOVED OUR TRIP CANCELLATIONS AND WHERE'S MY RIDE TRIPS TO AI SO THEY CALL AND IF THEY WANT TO, THEY PUSH A BUTTON AND THEY CAN GET AI AND THAT'LL HELP THEM WITH THE RIDES. I'VE LISTENED TO SEVERAL OF THE -- IF SOMEBODY MENTIONS THE WEATHER, SHE WILL SAY IT IS HOT WHERE YOU ARE. IT'S JUST CRAZY WHAT SHE PICKS UP ON. IF I ASK FOR A REPRESENTATIVE, THEY ROUTED BACK TO THE CALL CENTERS SO THEY CAN SPEAK TO SOMEONE IF THEY NEED TO. THE SECOND IS OUR EV. WE WERE SELECTED BY THE STATE TO BE A PART OF AN EV PILOT PROGRAM. WE WERE HOPING TO ALREADY HAVE -- WE HAVE TWO EVS THAT WE OPERATE BUT WE ARE GOING TO ADD MORE TO THIS PILOT PROGRAM AND SO WE'VE GOTTEN CHARGERS AT OUR PUBLICATION AND BASICALLY JUST WANTING TO SEE WHAT PUTTING EVS ON THE ROAD WOULD DO FROM JUST CAUSE PERFECTIVE COST PERSPECTIVE,PERFORMANCE PE. REALLY GOOD ESPECIALLY SINCE GAS PRICES ARE SO HIGH. THAT A HELP BECAUSE WE CAN CHARGE. SEVERAL YEARS TO GO, WE PUT SOLAR PANELS IN ONE OF OUR BUILDINGS SO WE CAN ACTUALLY [00:45:01] CHARGE VEHICLES AT NO CHARGE BECAUSE THOSE CONNECT TO THAT BUILDING. IT WILL SAVE US ON MAINTENANCE AND GAS WANT TO PUT THOSE ON THE ROAD. ANY QUESTIONS? >> COUNSEL, NO QUESTIONS? >> THANK YOU FOR THE REPUBLIC [G.4.A. Conduct a Public Hearing regarding a request for a 4B project at 101 South Interstate 45, Suite 6.] >> COUNCIL, NO QUESTIONS?>> THA. >> AT THIS TIME WILL MOVE ONTO PUBLIC HEARINGS. WE HAVE A HEARING FOR A PROJECT, OUR DIRECTOR GUY BROWN REPRESENT THIS. >> SO WE HAVE A PROJECT THAT WE WANT TO PRESENT WITH YOU TONIGHT. IN THE NAME OF THIS BUSINESS WE CALL IT COASTAL CRUNCH. IT'LL BE A SEAFOOD RESTAURANT THAT ALSO SERVE FRIED CHICKEN. WHAT YOU ALL HAD, HE HAD MILANO'S PIZZA AND IS LOOKING TO EXPAND ANOTHER RESTAURANT INTO THE SHOPPING CENTER AT 101 SOUTH 45. THE REQUEST WAS FOR A THREE STRAP AND FIRE SUPPRESSION. LET'S MOVE ON HERE. THESE ARE THE ESSENCE OF WHAT HE THINKS, JUST THE GENERAL WHAT I WOULD CALL INFRASTRUCTURE IMPROVEMENTS WOULD BE. AROUND 30,000, KITCHEN EQUIPMENT 40,000. GREASE TRAP 23,500 AND A WALK-IN COOLER. HE'S GOING TO SPEND ON THESE ITEMS $127,000. THIS SHOWS THE DIFFERENT ESTIMATES THAT HE'S GOT. HE MET WITH THE EDC BOARD IN JULY. AND THIS IS WHAT NUMBER SIX LOOKS LIKE NOW. CURRENTLY EMPTY. HE HAS STARTED ON THE GREASE TRAP. THERE WILL BE AN EXTERIOR GREASE TRAP. I THINK WE'LL HAVE ABOUT 20050-POUND CAPACITY. IT'LL MEET OUR ORDINANCE. THE EDC BOARD MET AND RECOMMENDED A $25,000 GRANTS TO ASSIST WITH THIS. THERE WAS A RESOLUTION APPROVING IT IN YOUR PACKET ALONG WITH AN AGREEMENT DRAFTED BY THE CITY ATTORNEY WHERE THIS WOULD FIT IN AND THE OTHER GRANTS THAT WE'VE DONE THIS WILL BE THE SECOND-LARGEST ONE THAT WE'VE DONE SO FAR. WE'LL DO 30,000 FOR SAN JUAN AND FOR WEST PALESTINE. AND SO FAR UNBELIEVABLE PAIR OF MILANO'S PIZZA WE'VE DONE 15,000. HE IS MUCH MORE IN THIS LOCATION AND SO THE BOARD THOUGHT A LITTLE BIT HIGHER GRANT FROM THE EDC WAS WARRANTED. AND HE'S HERE TO ANSWER ANY QUESTIONS THAT YOU HAVE AND SO AM I. >> COUNCIL, DO Y'ALL HAVE ANY QUESTIONS? I'VE HAD THE PRIVILEGE OF SEEING HIS PROJECT THAT HE'S BRINGING INTO TOWN. AND WE CERTAINLY APPRECIATE YOU INVESTING IN THE CITY. WE'VE BEEN WAITING A LONG TIME FOR A GOOD CHICKEN PLACE AND FISH PLACE. THE PETE SAYS REALLY, REALLY GOOD. WE JUST LOOK FORWARD TO PATRONIZING YOU WHEN YOU OPEN. COUNCIL, DO YOU ALL HAVE ANYTHING HERE? >> NO, I DON'T. >> THANK YOU SO MUCH. >> WE APPRECIATE YOU. THANK YOU. >> AT THIS TIME, MAYOR, WILL MOVE ON TO ITEM B TO RECEIVE COMMENTS. NOT QUESTION Q&A. >> WHAT'S THE TIMING... 6:49? WE'LL OPEN TO OPEN COMMENTS IF ANYONE HAS ANYTHING TO SAY ABOUT THE NEW FISH OR CHICKEN PLACE OR ANY QUESTIONS ON IT. NOPE? OKAY. AT 6:50 WE ARE GOING TO CLOSE A PUBLIC HEARING. >> I NEED TO SWITCH BACK TO MY SCREEN. OKAY. SO AT THIS TIME WILL MOVE ON TO ITEM C, DISCUSS AND CONSIDER A RESOLUTION FOR THE CITY COUNCIL APPROVING THE PROJECT FOR PROPERTY LOCATED AT 101 SOUTH INTERSTATE 45 SUITE SIX. >> I'LL MAKE A MOTION TO APPROVE [00:50:07] RESOLUTION 2026-08-1352. >> THERE IS A MOTION BY MR. ALOMAR, A SECOND BY MR. NICHOLS TO APPROVE RESOLUTION AS READ BY OUR EDC DIRECTOR GUY BROWN. ALL IN FAVOR? CAST YOUR VOTES. MOTION CARRIES. >> WE HAVE ONE. WE HAVE ONE THAT HASN'T VOTED. >> EVERYBODY THERE? GO FOR IT, EDDIE. THANK YOU. >> OKAY. AT THIS TIME WE WILL MOVE ON TO OUR NEXT ITEM. WE HAVE DISCUSSED AND CONSIDERED A RESOLUTION APPROVING TO NEGOTIATE A SETTLEMENT AGREEMENT BETWEEN THE ATMOS CITIES STUDENT COMMITTEE AND AT MS. ENERGY AT Y MS. DECLARING EXISTING RATES TO BE UNREASONABLE, ADOPTING TARIFFS -- >> ARE WE NOT DOING NUMBER FIVE? [H.5. Discuss and consider a Resolution OF THE CITY COUNCIL OF THE CITY OF HUTCHINS, TEXAS, APPROVING AND AUTHORIZING THE CITY ADMINISTRATOR TO NEGOTIATE AND EXECUTE THE TERMS AND CONDITIONS OF THE PROPOSED SERVICE FEE AGREEMENT BY AND BETWEEN THE CITY OF HUTCHINS AND BRANDSTETTER CARROLL, INC. FOR ARCHITECTURAL DESIGN SERVICES FOR THE PUBLIC WORKS BUILDING; AND PROVIDING FOR AN EFFECTIVE DATE. Resolution R2026-08-1353] >> I'M SO SORRY. I JUMPED AHEAD. SORRY. DISCUSS AND CONSIDER A RESOLUTION OF -- APPROVING AND THE TERMS AND CONDITIONS OF PROPOSED SERVICE FEE AGREEMENT BY AND BETWEEN THE CITY OF HUTCHINS AND BRANDSTETTER CA CARROLL FOR A.R.C. INITIAL DESIGN SERVICES FOR THE PUBLIC WORKS BUILDING. >> THE OVERALL PLAN IS TO MOVE THE PUBLIC WORKS BUILDING OUT OF ITS CURRENT LOCATION AND CREATE A NEIGHBORHOOD PARK THERE. THIS IS NOT IMMEDIATE BUT WOULD LIKE TO HAVE A CONCERT PLANNED FROM BCI. MARION MITCHELL IS HERE THIS EVENING. THE $14,000 IS WELL WITHIN OUR BUDGET TO EXPAND ON THIS. >> IF ANYBODY HAS ANY QUESTIONS, WE MAKE A MOTION TO APPROVE MOTION 2026-08-1353. >> WE MOVED TO APPROVE RESOLUTION 2026-08-1353 AS READ BY OUR CITY ADMINI ADMINISTER. ALL IN FAVOR, CAST YOUR VOTES. THE MOTION CARRIES. >> NOW AT THIS TIME WE WILL MOVE [H.6. Discuss and consider a Resolution OF THE CITY COUNCIL OF THE CITY OF HUTCHINS, TEXAS, APPROVING A NEGOTIATED SETTLEMENT BETWEEN THE ATMOS CITIES STEERING COMMITTEE (“ACSC”) AND ATMOS ENERGY CORP., MID-TEX DIVISION REGARDING THE COMPANY’S 2026 RATE REVIEW MECHANISM FILING; DECLARING EXISTING RATES TO BE UNREASONABLE; ADOPTING TARIFFS THAT REFLECT RATE ADJUSTMENTS CONSISTENT WITH THE NEGOTIATED SETTLEMENT; FINDING THE RATES TO BE SET BY THE ATTACHED SETTLEMENT TARIFFS TO BE JUST AND REASONABLE AND IN THE PUBLIC INTEREST; APPROVING AN ATTACHMENT ESTABLISHING A BENCHMARK FOR PENSIONS AND RETIREE MEDICAL BENEFITS; REQUIRING THE COMPANY TO REIMBURSE ACSC’S REASONABLE RATEMAKING EXPENSES; DETERMINING THAT THIS RESOLUTION WAS PASSED IN ACCORDANCE WITH THE REQUIREMENTS OF THE TEXAS OPEN MEETINGS ACT; ADOPTING A SAVINGS CLAUSE; DECLARING AN EFFECTIVE DATE; AND REQUIRING DELIVERY OF THIS RESOLUTION TO THE COMPANY AND THE ACSC’S LEGAL COUNSEL. Presented by Katherine Lindsey, Assistant to the City Administrator Resolution R2026-08-1354] ON TO THE NEXT ITEM FOR THE RATE REVIEW MECHANISM. >> GOOD EVENING, MAYOR AND COUNCIL. THE RATE AND VIEW MECHANISM THE ARE RM ADJUST NATURAL GAS RATES. THE CITY COMMUNITY REVIEWS ATMOS' DATA FROM THE PAST YEAR AND NEGOTIATES RATES WHEN POSSIBLE. APRIL OF THIS YEAR, AT MS. FILED RATE ATMOS SETTLED THE CASE FOR $260.5 MILLION WHICH INCLUDES A CONSULTING COST FOR THE COMMITTEE AND IT WAS 30 MILLION LESS THAN THE INITIAL REQUEST. THE REQUEST FOR THE TARIFF WILL INCREASE THE AVERAGE RESIDUAL RATE BY $13.37 A MONTH, BUT IF PART OF THE STEERING COMMITTEE WILL HAVE A LOT MORE BECAUSE WE HAVE THE STATE PROCESS. KIMBERLY SMITH, THE PUBLIC AFFAIRS MANAGER FOR ATMOS, IS PRESENT TONIGHT IF ANY OF YOU HAVE ANY QUESTIONS. >> I MAKE A MOTION TO APPROVE RESOLUTION 2026-08-1354. >> THE MOTION AND THE SECOND BY MRS. CAMPBELL TO APPROVE RESOLUTION 2026-08-1354. [00:55:01] ALL IN FAVOR? CAST YOUR VOTE. THE MOTION CARRIES. >> WILL MOVE ON TO THE NEXT [H.7. Discuss and consider a Resolution OF THE CITY COUNCIL AND THE CITY OF HUTCHINS, TEXAS APPROVING AND AUTHORIZING THE CITY ADMINISTRATOR TO NEGOTIATE AND EXECUTE THE TERMS AND CONDITIONS OF AN AGREEMENT BY AND BETWEEN THE CITY OF HUTCHINS AND RENÉ BATES AUCTIONEERS, INC. (RBAI) TO CONDUCT ONLINE AUCTIONS OF SURPLUS INVENTORY FOR THE CITY OF HUTCHINS; AND PROVIDING FOR AN EFFECTIVE DATE. Presented by Katherine Lindsey, Assistant to the City Administrator Resolution R2026-08-1355] ITEM. WE HAVE DISCUSSED AND CONSIDER RESOLUTION OF THE CITY COUNCIL AUTHORIZING THE CITY ADMINISTRATOR TO NEGOTIATE AND EXECUTE THE TERMS -- SORRY. THE TERMS AND CONDITIONS IN AGREEMENT BY THE CITY OF HUTCHINS AND RENE BATES AUCTIONEERS TO CONDUCT AN ONLINE AUCTION OF SURPLUS INVENTORY. PRESENTED BY KATHERINE LINDSEY, ASSISTANT TO THE CITY ADMINISTRATOR. >> RENE BATES, WE'VE USED THEM FOR AUCTIONS IN THE PAST. FOR MOST CITIES AND SCHOOL DISTRICTS IN THE AREA DO AS W WELL. THIS CONTRACT WOULD ALLOW THE CITY OF HUTCHINS TO USE THEIR ON MY AUCTION NEEDS FOR THE NEXT YEAR. >> WE'VE TALKED ABOUT OPTIONS NOW FOR EVERYTHING? >> YES, MAYOR. THE NEXT ITEM IS WHEN COUNSEL CAN APPROVE TO AUCTION OFF THE ITEMS. BUT WE WOULD NEED TO HAVE A FACILITATOR OF COMPANY ASSIST WITH THAT FIRST. >> OKAY. SO WHAT YOU DO IS YOU GET AN INVENTORY OF EVERYTHING THAT YOU HAVE, ARE THERE PICTURES INVOLVED? >> THAT'S THE NEXT ITEM. THE NEXT ITEM AFTER THIS ONE. >> ALL RIGHT. >> JUST WONDERING. JUST SO THE AUDIENCE KNOWS WHAT WE ARE DOING. >> I'D LIKE TO MAKE A MOTION TO APPROVE RESOLUTION R2026-08-1355. >> I SECOND. >> HOW ABOUT MR. ELMORE? MOTION BY MR. ELMORE, SECONDED BY MR. RODRIGUEZ TO APPROVE R2026-08-1355. ALL IN FAVOR, CAST YOUR VOTES. THE MOTION CARRIES. >> THIS TIME WE MOVE ONTO OUR [H.8. Discuss and consider a Resolution OF THE CITY COUNCIL OF THE CITY OF HUTCHINS, TEXAS, DECLARING CERTAIN PROPERTY SURPLUS OR OBSOLETE, AND AUTHORIZING THE AUCTION OF SAME; AND PROVIDING FOR AN EFFECTIVE DATE. Presented by Katherine Lindsey, Assistant to the City Administrator Resolution R2026-08-1356] NEXT ITEM AND IT IS TO DISCUSS AND CONSIDER THE RESOLUTION DECLARING CERTAIN PROPERTIES SURPLUS OBSOLETE AND AUTHORIZING THE AUCTION PRESENTED BY KATHERINE LINDSEY, ASSISTANT TO THE CITY ADMINISTRATOR. >> MAYOR AND COUNCIL, THE PICTURES, ALL THE ITEMS ARE INCLUDED IN YOUR PACKET. THERE ARE 1 OF 38 LOTS TOTAL. BIG-TICKET ITEMS INCLUDE AN OLD FIRE TRUCK FIELD GOALS, PUBLIC WORKS DEPARTMENTS. AS WELL AS A LOT OF THE FURNITURE AT THE OLD CITY HALL BUILDING INCLUDING DESKS, BOOKCASES, TABLES, OLD CORDS, ELECTRONIC EQUIPMENT. WHITEBOARDS, DUST ORGANIZERS. ANYTHING THAT STAFF DID NOT NEED TO BRING TO THE NEW CITY HALL BUILDING OR WAS NOT GOING TO BE USED. >> OKAY. >> MOTIONS AND APPROVED BUDGETS IN R2026-08-1356. >> MOTION BY MR. NICHOLS, MOTION BY MRS. CAMPBELL AS READ BY SISTER CITY ADMINISTRATOR KATHERINE LINDSEY EIGHT. YOUR VOTES. THE MOTION CARRIES. >> I'D LIKE TO SAY KATHERINE WORKED VERY HARD ON THIS AND I APPRECIATE IT BECAUSE THAT WAS A MONUMENTAL TASK. I APPRECIATE IT. [H.9. Discuss and consider appointments to the Atwell Public Library Board. Presented by Cynthia Olguin, City Secretary] >> THANK YOU, KATHERINE. >> OKAY, THIS TIME WE WILL MOVE ON TO OUR BOARDS OR COMMISSIONS APPOINTMENTS. I GAVE YOU A HANDOUT ON THE STAFF REPORT. FIRST IS THE AT-WILL PUBLIC LIBRARY BOARD. WE HAVE THE BOARD MADE UP OF SIX MEMBERS. WE HAVE THREE SEATS UP FOR REAPPOINTMENT AND WE HAVE APPLICATIONS FROM SKYLA PELLUM, A CURRENT MEMBER, ANGELA [01:00:03] ROBERTSON, A REGULAR MEMBER, AND WE HAVE ONE MORE, LAFONDA CO COUSIN. SO THERE IS A RECOMMENDED MOTION THAT YOU COULD MAKE TO APPOINT THESE MEMBERS IF THAT'S WHAT YOU CHOOSE TO DO. >> CAN YOU DO WHAT NOW? >> ON THE STAFF REPORT THERE IS A RECOMMENDED REPORT. IF YOU'D LIKE TO APPOINT THESE APPLICANTS. >> THESE THREE MEMBERS HERE? OKAY. >> I MAKE A MOTION TO APPROVE THE FINAL APPOINTMENTS TO THE ADVENT OF THE PUBLIC LIBRARY BOARD FOR A TWO YEAR TERM EXPIRING 2028. MS. SKYLA PELLUM, MS. ANGELA ROBERTSON, AND MS. LAFONDA COUSIN. >> SKYLA PELLUM, ANGELA ROBERTSON, AND LAFONDA COUSIN. [H.10. Discuss and consider appointments to the Hutchins Economic Development Corporation. Presented by Cynthia Olguin, City Secretary] THERE YOU GO. MOTION CARRIES. >> NEXT ITEM, WE HAVE DISCUSSED AND CONSIDERED APPOINTMENTS TO THE HUTCHINS ECONOMIC DEVELOPMENT CORPORATION. IN YOUR PACKETS, YOU HAVE A SUMMARY OF THE HEDC MADE UP OF SEVERAL MEMBERS FOR REAPPOINTMENT. WE HAVE THE FOLLOWING REAPPOINTMENTS. MR. ARTIS JOHNSON, AURORA MADRIGAL, STEVE NICHOLS, MARIO VASQUEZ. >> THE MOTION. >> [INDISTINCT] [H.11. Discuss and consider appointments to the Planning and Zoning Commission. Presented by Cynthia Olguin, City Secretary] >> OKAY. MOTION CARRIES. WE MOVE ON TO THE NEXT ITEM. DISCUSS AND CONSIDER APPOINTMENTS TO THE PLANNING AND ZONING COMMISSION. WE HAVE THE ZONING COMMISSION MADE UP OF FIVE REGULAR MEMBERS WITH TWO ALTERNATE MEMBERS. WE HAVE TWO REGULAR MEMBER POSITIONS UP FOR REAPPOINTMENT WITH TERMS EXPIRING IN JULY 2028. IN ADDITION TO THAT WE DO HAVE A VACANCY FOR -- WE HAVE NOT BEEN ABLE TO BE IN CONTACT WITH SINCE EARLIER THIS YEAR. STAFF IS RECOMMENDED MOVING MR. COURTNEY LIZ CALDWELL FROM THE ALTERNATE POSITION TO THE VACANT REGULAR MEMBER POSITION. >> WE APPOINT CORNELIUS CALDWELL FROM A RESERVE TO A REGULAR MEMBER. >> SECOND. >> [INDISTINCT] >> AS A REGULAR. >> AT THIS TIME WE MOVE ONTO THE [H.12. Discuss and consider appointments to the Parks and Recreation Board. Presented by Cynthia Olguin, City Secretary] NEXT ITEM. THE PARKS AND RECREATION BOARD IS MADE UP OF FIVE REGULAR MEMBERS WITH TWO ALTERNATE MEMBERS. WE HAVE TWO REGULAR MEMBERS WITH POSITIONS UP FOR REAPPOINTMENT. AND THEN ONE ALTERNATE MEMBER UP FOR REAPPOINTMENT. WE HAVE MR. HUELL GUILLIAM COME REGULAR MEMBER VERNON TELL HIM, AND AMBER MEDINA WHO HAS APPLIED TO BE AN ALTERNATE MEMBER. >> THERE IS A MOTION BY [01:05:02] MR. NICHOLS TO APPROVE... ALL IN FAVOR, CAST YOUR VOTES. THE MOTION CARRIES. >> THE NEXT ITEM WE HAVE IS [H.13. Discuss and consider appointments to the Zoning Board of Adjustment and Building and Standards Commission. Presented by Cynthia Olguin, City Secretary] CONSIDERING APPOINTMENTS TO THE ZONING BOARD OF ADJUSTMENTS AND BUILDING EXTEND THEIR COMM COMMISSION. SEVEN REGULAR MEMBERS WITH TWO ALTERNATES. AUTOMATICALLY APPOINTED TO THE STANDARDS COMMISSION. WE HAVE THREE MEMBERS FOR REAPPOINTMENT. MR. GARY JONES, MR. FREDDIE MADRIGAL, MR. CHISHOLM. >> I MAKE A MOTION THAT WE APPOINT GARY JONES AND THE ZONING BOARD OF ADJUSTMENTS. >> SECOND. ALL IN FAVOR? >> OKAY. [I.14. Planning and Zoning Commission Meeting, Monday, August 24, 2026, 6:00 p.m., City Hall, 400 N. JJ Lemmon Rd., Hutchins. Parks and Recreation Board Meeting, Tuesday, September 1, 2026, 6:30 p.m., City Hall, 400 N. JJ Lemmon Rd., Hutchins. City offices closed on Monday, September 7, 2026, in observance of Labor Day. City Council Meeting, Tuesday, September 8, 2026, 6:30 p.m., City Hall, 400 N. JJ Lemmon Rd., Hutchins. Hispanic Heritage Month Celebration, Thursday, September 17, 2026, 5:30 p.m. - 7:30 p.m., Hutchins Event Center, 400 N. JJ Lemmon Rd., Hutchins.] THAT BRINGS US TO THE END OF THE REGULAR AGENDA. WE MOVE ONTO ITEMS ON COMMUNITY SERVICE PAID WE HAVE A PLANNING AND ZONING MEETING MONDAY AUGUSD RECREATION BOARD TUESDAY SEPTEMBER 1ST AT 6:30. CITY OFFICES WILL BE CLOSED MONDAY SEPTEMBER 7TH IN OBSERVANCE OF THE LABOR DAY HOLIDAY. AND OUR NEXT CITY COUNCIL MEETING WILL BE ON TUESDAY SEPTEMBER 8TH. AND WE HAVE OUR HISPANIC HERITAGE MONTH CELEBRATION WITH AN ACTIVITY ON THURSDAY SEPTEMBER 17TH FROM 5:30 TO 7:30 AT THE EVENT CENTER. >> WE ARE ADJOURNED. >> SECOND. >> AT THIS YOU CAN ADJOURN THE MEETING SINCE THERE'S NOTHING LEFT ON THE AGENDA. * This transcript was compiled from uncorrected Closed Captioning.